U.S. 4-month Treasury auction to Sep 2 — share awarded at the stop-out yield 76.38% vs 34.83% previously.

Saudi outlet Alhadath quoted President Trump saying the US must not let Iran acquire nuclear weapons because, he warned, Iran would use them and "half the world would be destroyed." He said the US controls the Strait of Hormuz and that "yesterday we destroyed 28 boats and vessels of Iran's Islamic Revolutionary Guard Corps."

U.S. Treasury Secretary Bessent told Fox News that Iran's president and parliament speaker have publicly acknowledged severe economic distress. He said the Iranian currency has collapsed, inf has topped 100%, and the government is unable to pay military salaries. Bessent said the U.S. is imposing the "toughest sanctions in history" to comprehensively suppress the regime and warned it will cut Iran off from all economic and political ties and sanction any entities that do business with Tehran.